Smoking Cost Recovery and Education Tax Act of 1989

Smoking Cost Recovery and Education Tax Act of 1989 - Amends the Internal Revenue Code to increase all existing Federal excise taxes on tobacco products. Imposes a new tax of $1.17 per pound on cigarette tobacco manufactured in or imported into the United States. Establishes in the Treasury the Smoking Cost Recovery and Education Trust Fund, to be available to finance educational programs (including paid advertising) concerning the hazards of cigarette smoking, with emphasis on discouraging smoking by youth. Appropriates to the Fund ten percent of the increase in tobacco tax revenue generated as a result of this Act. Directs the Secretary of the Treasury to conduct an ongoing study and to report biennially to specified congressional committees on: (1) the effects of smoking on health care costs; and (2) the incidence of cigarette smoking by youth, including the relationship between cigarette tax rates and youth smoking.